On January 14, 2026, the Reserve Bank of India (RBI) granted 'in-principle' approval to Sumitomo Mitsui Banking Corporation (SMBC), Japan, for setting up a Wholly Owned Subsidiary (WOS) in India, as per the Reserve Bank of India (Setting Up of Wholly Owned Subsidiaries by Foreign Banks) Guidelines, 2025. SMBC currently conducts banking business in India via four branches in New Delhi, Mumbai, Chennai, and Bengaluru, and the 'in-principle' approval allows SMBC to establish a WOS through conversion of its existing branches. The RBI may consider granting a license for commencing banking business in WOS mode under Section 22 (1) of the Banking Regulation Act, 1949, to SMBC, upon satisfaction that the bank has met the conditions laid down by RBI as part of the 'in-principle' approval.
Press Release Number: 2025-2026/1924.
Contact: Brij Raj, Chief General Manager.
Website: www.rbi.org.in
Email: helpdoc@rbi.org.in
Phone: 022 - 2266 0502
Address: Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort, Mumbai - 400 001.
Key Entities Referenced
Reserve Bank of India (Setting Up of Wholly Owned Subsidiaries by Foreign Banks) Guidelines, 2025: Guidelines under which the RBI granted 'in-principle' approval to SMBC for setting up a WOS.
Sumitomo Mitsui Banking Corporation (SMBC): The foreign bank granted 'in-principle' approval to set up a Wholly Owned Subsidiary in India.
Reserve Bank of India (RBI): The regulator granting 'in-principle' approval for setting up a Wholly Owned Subsidiary (WOS).
Banking Regulation Act, 1949: Section 22(1) is referenced regarding licensing for commencing banking business in WOS mode.
India: The location where the Wholly Owned Subsidiary (WOS) is being established.
प्रेस प्रकाशनी PRESS RELEASE
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
वेबसाइट
:
www.rbi.org.in/hindi
संचार वर्भाग, केंद्रीय कायाालय, शहीद भगत ससिंह मागा, फोटा, म िंबई - 400 001
Website : www.rbi.org.in Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort,
ई-मेल/email : helpdoc@rbi.org.in Mumbai - 400 001 फोन/Phone: 022 - 2266 0502
January 14, 2026
RBI grants ‘In-principle’ Approval to Sumitomo Mitsui Banking Corporation
(SMBC), Japan for setting up a Wholly Owned Subsidiary (WOS) in India
The Reserve Bank of India (RBI) has decided to grant ‘in-principle’ approval to
Sumitomo Mitsui Banking Corporation (SMBC), Japan for setting up a Wholly Owned
Subsidiary (WOS) in India, under the Reserve Bank of India (Setting Up of Wholly
Owned Subsidiaries by Foreign Banks) Guidelines, 2025.
SMBC is currently carrying on banking business in India in branch mode through its
four branches located in New Delhi, Mumbai, Chennai and Bengaluru. The ‘in-principle’
approval has been granted to the bank for setting up a WOS through conversion of its
existing branches in India.
The RBI would consider granting a licence for commencement of banking business
in WOS mode under Section 22 (1) of the Banking Regulation Act, 1949 to SMBC on
being satisfied that the bank has complied with the requisite conditions laid down by
RBI as part of ‘in-principle’ approval.
(Brij Raj)
Press Release: 2025-2026/1924 Chief General Manager